asked the Parliamentary Secretary to the Ministry of Civil Aviation what compensation has been paid for the taking over of railway air services and allied airways.

As my predecessor explained to the House during the passage of the Civil Aviation Bill, offers had been made to the internal airlines of this country which were operating on 1st November, 1945, that they should each be acquired as going concerns at a price to be determined as between a willing buyer and a willing seller. Agreement on a price was subsequently reached with the group of companies comprised under the Associated Airways Joint Committee, and the transfer of the ownership of the undertakings to the British European Airways Corporation took place on 28th February, 1947. The agreed price was £550,000, subject to verification of the liquid assets by a chartered accountant. In the case of the other company, Allied Airways (Gandar Dower), Limited, negotiations with the company are proceeding.

Can the hon. Gentleman say when the negotiations regarding Allied Airways are likely to be completed?

Those negotiations are still proceeding. They have been protracted, but I should not like to give a date when it is contemplated that they will be completed.